The morning news. [volume] (Savannah, Ga.) 1887-1900, 1887-06-16
WILL NOT BE SUSPENDED.
THE CLAUSE FOUR DECISION RE-
CEIVED AT LAST.

A VOluminouS II Not Satisfactory Pa
perrin Effect the Railroads are to Go
Ahead and Interpret the Law, and
Make Their Own Tariffs, but at Their
Own Risk.
WASHINGTON, June 15.--The Interstate
Commerce Commission rendered tonight its
long-expected decision upou the fourth sec
tion of the interstate commerce act The
decision is made upon the petition of the
Louisville and Nashville and other railroad
companies, which were among the first to
apply for relief from the operation of the
fourth section of the law The decision is
very long, comprising more than $4,000
words, but its most important feature is the
announcement that the commission is salts
fed that the statute does not require it to
prescribe in every instance-only in excep-
tional cases-and then grant its order
for relief, before the carrier
is at liberty in its tariffs to depart from the
general rule. The carrier must
judge for itself what are substantially
similar circumstances and conditions, which
preclude a special rate, or drawback
which make unlawful determinations by
powered to judge for it until after the car
rier has acted, and then only for the pur-
pose of determining whether its action con-
stitutes violation of the law The carrier
judges on the peril of the consequences, but
special rates, which it grants, are not
illegal when it turns out that
the circumstances and conditions
were not such as to forbid it, and as Con-
gress clearly intended this, it must also
hon ft,a j. i,,t h.,
section, have intended that the carrier,
whose privilege was in the same way
limited by them, should in the same way
act upon its judgment of the limiting cir
cumstances and conditions The commits
sion will not undertake to decide what con-
stitutes a discrimination" under substan-
TALLY similar circumstances and conditions
but will leave the railroad companies in
fixing their tariffs to act upon their own
Judgment and on their own risk
THEIR CONCLUSIONS.
For the guidance, however, of the railroad
companies, the commission in its decision
has considered at great length nearly all of
the questions raised under the fourth section
of the law, and has reached conclusions as
follows:
!. That the prohibition in the fourth
section againsta greater charge for shorter
than longer distance over the same line,
in the same direction. the shorter being in
cluded within the longer distance, as quail
fled therein, is limited to the case in which
the circumstance and conditions are sub
stantially similar
2 That the phrase, NUnder substantially
similar circumstances md conditions" in
the fourth section is used in the same sense
as in the second section, and under the quail
flied form of the prohibition in the fourth
section the carriers are required TO judge in
the first instance with regard to the SINH
larity or dissimilarity of the circumstances
and conditions that forbid or permit
greater charge for the shorter distance
3. That the judgment of the carriers in
respect to the circumstances and condi-
tions" is not final, but is subject to the
authority of the commission and the courts
to decide whether an error has been COM
mitted, or whether the salute has been vio-
lated; and in case of a complaint for vio-
lating the fourth section of the act, the bur
den of proof is on the carrier to Justify any
departure from the general rule prescribed
by the statute, by showing that the circum-
stances and conditions are substantially dis
similar.
Il That the provisions of section 1, re-
quffing these charges to be reasonable and
Just, and of section 2, for bidding and un-
just discrimination, apply, when exceptional
charges are made, under section as they do
in the other cases.
5. That the existence of an actual com
petition which is of controlling force, in
respect to traffic important in amount may
make out dissimilar circumstances and CON
dtions emitting the carrier to charge less
for longer than for shorter haul over the
same line in the same direction, the shorter
being included in the longer, in following
cases: |. When the competition is
rrio hNr
subject to the provisions of this statute.
2. When the competition is with for
eign or other railroads which are not
subject to the provisions of this statute.
3. In rare and peculiar cases of competi-
ton between railroads which are subject to
the statute, when a strict application of the
general rule of the statute would be de-
of such competition.
6. The commission further decides that
when greater charge, in the aggregate, is
made for the transportation Of passengers,
or like kind Of property, for shorter
than for a longer distance, over the same
line in the same direction, the shorter being
included in the longer distance, il is not
justification therefor that the
traffic, which is subjected TO such greater
charge, is way or local traffic, and that
which is given more favorable rates is not
nor is it sufficient justification for such
SIbdueT Re bldb uiic oilOl iliul u diliC ~
more expensive TO the carrier unless, when
the circumstances are such as TO make it ex-
ceptionally expensive, OF the long haul traffic
exceptionally Inexpensive. The difference
being extraordinary and susceptible Of
proof, nor that the lesser charge on the
longer hauls has for its motive the encour-
agement of manufactures or some other
of industry, nor that it Is
designed to build up business or trade
centres, nor that lesser charge on a longer
haul is merely the continuation Of the fhv-
orahle rates under which trade centres or
industrial establishments have been built
up. The fact that the long haul traffic will
only bear certain rates is no reason for car
rying it for less than cost at the expense of
other traffic.
WATER COMPETITION.
In considering the cases governed by the
fifth conclusion in the above abstract the
commission takes up first, competition with
carriers by water, and says: ut was fairly
shown before us that instances exist and |
may be found along the routes of the peti-
tioner's lines in the States Of Kentitcky, |
Tennessee, Georgia, Alabama, Mississippi |
and Louisiana, where the competition Of the |
water ways forces down the railroad |
rates below what is possible 20 /
make them as non-competitive points |
and still maintain the roads |
with success or efficiency. The |
,nly question that fairly arises in regard TO |
n. Ks whether the competition is kept within I
proper bounds. Low rates are necessity |
If the situation, and if the railroads com
y k..ts ..s4l 49,